The Central Alabama Water Board voted Monday to reduce how much it pays the Birmingham Business Resource Center (BBRC) each month, after raising questions about the cost and the actual benefits of BBRC’s services.
According to reporting from 1819 News, the board was asked to approve three invoices for $35,000 each, reflecting a higher monthly rate that began earlier this year. Board members pointed out the contract had gone up from $20,000 to $35,000 per month, even though the higher amount had not been fully executed for 2025.
Some members said they weren’t convinced the BBRC’s work directly helps the utility or its customers. The BBRC is a nonprofit that describes itself as a “one-stop shop” for entrepreneurs, offering programs that promote civic welfare, help small businesses grow, increase jobs, and support the local economy, according to its website.
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Instead of paying the higher amount, the board voted to return the payments to the previous $20,000 monthly level. Board lawyers were also asked to review whether the services being provided are in line with the contract. The decision passed, though one member voted against it.
This is not the first time the new board has reviewed contracts closely. Earlier this year, the board canceled a $660,000 contract that had been approved just before Governor Kay Ivey signed a law to restructure the board. That decision was also made to protect ratepayers and create greater spending accountability.
The BBRC lists Birmingham Water Works as one of its sponsors, along with banks, local governments, and businesses. Its most recent report, from April 2024, said it helps minority-owned and disadvantaged businesses and teaches entrepreneurship in low-income communities.
Sherri Blevins is a staff writer for Yellowhammer News. You may contact her at [email protected].